Her Majesty's Revenue & Customs recently changed its guidance to say that VAT is not applicable for no-shows, but not all hotels are aware of the change, said HRG director of taxation Chris Gibson. According to Gibson, hotels traditionally charged VAT on no-shows because, they argued, they have provided the service as the reservation contract has not been canceled. Now HMRC has said VAT should not be charged other than when the hotel guaranteed a specific room for a customer, such as a presidential suite. Get the full story at Business Travel News